bservational ataObservational DataEndogenous Variable: Variable that is affected by choice or behavior of agentsY (dependent variable) is always endogenousX(independent variable) can be endogenous or not.Very common in observational dataExample: Does the class attendance increase the course grade?the class attendance endogenous?Is the class attendance endogenous?Yes, it is chosen by agents(students).oes it cause dogeneityas?

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